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Ford pushes for factory restart, union not so sure

AP  |  Detroit 

Ford says it wants to reopen five North American assembly plants in April that were closed due to the threat of coronavirus.

The three Detroit automakers suspended production at North American factories March 19 under pressure from the United Auto Workers union, which had concerns about members working closely at work stations and possibly spreading the virus.

Union spokesman Brian Rothenberg said Thursday that the UAW is reviewing Ford's announcement with great concern and caution.

The company says it's aiming to reopen its factory in Hermosillo, Mexico, on April 6, followed by its Dearborn, Michigan, truck plant, Kentucky truck plant in Louisville, the Ohio Assembly Plant near Cleveland, and the Transit van line at the Kansas City plant on April 14.

The company also wants to reopen parts-making plants to feed the assembly factories on the same day.

Ford says in a prepared statement that it will introduce additional safety measures to protect workers, but said it would give details later.

The decision comes as the number of people infected by the virus spikes in Michigan. On Wednesday the state reported t least 2,294 infections and that the number of deaths nearly doubled from 24 to 43.

Two Detroit-area hospital systems said they are caring for more than 1,000 COVID-19 patients at 13 hospitals. At Beaumont Health and Henry Ford Health System, operating rooms were being converted into intensive care units and clinics had been turned into rooms for patients needing other medical care.

President Donald Trump said Wednesday that he is hoping the United States will be reopened by Easter as he weighs how to relax nationwide social-distancing guidelines to put some workers back on the job during the coronavirus outbreak.

Dr Betty Chu, of Henry Ford, predicted an upcoming surge in patients in Michigan, and Beaumont chief executive John Fox called on the state to invoke its power to balance care across eight regions in the state.

The Ford factories, which largely make highly profitable pickup trucks, commercial vans and big SUVs, are key to Ford's financial health.

The Ford F-150 pickup made at the Dearborn Truck plant is the top-selling vehicle in America that's responsible for much of the company's profit.

US automakers book revenue when vehicles are shipped to dealers, so without production, the revenue stream is largely cut off.

The factories were to be closed until March 30, but earlier this week Ford extended that date indefinitely.

Ford has about 56,000 workers represented by the UAW, and some members have been fearful of catching the virus and taking it home to their families.

Two union workers from Fiat Chrysler plants in the Detroit area and Kokomo, Indiana, have died this week from complications due to the virus, but it's not clear whether they got it at the factories or elsewhere.

The effort to reopen the plants comes as Amazon and other large warehouses continue operations, although some of the goods they're distributing are considered essential.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Thu, March 26 2020. 18:32 IST
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